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Chartered Institute of Personnel and Development, based in England, is the oldest professional HR association,with its predecessor institution being

founded in 191 ! "everal associations also serve niches within HR! #he Institute of Recruiters $I%R& is a recruitment professional association, offering members education, support and training!'(1) *orldat*or+ focuses on ,total rewards, $i!e!, compensation, benefits, wor+ life, performance, recognition, and career development&, offering several certifications and training programs dealing with remuneration and wor+-life balance! %ther niche associations include the .merican "ociet/ for #raining 0 Development and Recognition Professionals International! Publications .cademic and practitioner publications dealing e1clusivel/ with HR2 Cornell HR Review HR 3aga4ine $"HR3& Human Resource 3anagement $5ohn *ile/ 0 "ons& Human Resource 3anagement Review $Elsevier& International 5ournal of Human Resource 3anagement $#a/lor 0 6rancis& Perspectives on *or+ $7ER.& Related publications2 .cadem/ of 3anagement 5ournal .cadem/ of 3anagement Review .dministrative "cience 8uarterl/ $"amuel Curtis 5ohnson 9raduate "chool of 3anagement& %rgani4ation "cience $I:6%R3"& "ee also *i+imedia Commons has media related to2 Human resources management .spiration 3anagement %rgani4ational behavior %rgani4ational theor/ References 7ibrar/ resources .bout Human resource management Resources in /our librar/ Resources in other libraries

; 3er+le, 5udith .! 3anagement and Ideolog/! <niversit/ of California Press! I"=: >-?(>->@A@A-?! ; 3a/o, Elton $19B?&! ,Hawthorne and the *estern Electric Compan/,! Harvard =usiness "chool! Retrieved ( December (>11! ; ,.bout CIPD,! Chartered Institute of Personnel and Development! Retrieved (( December (>11! ; ,.bout Cornell I7R,! Cornell <niversit/ "chool of Industrial and 7abor Relations! Retrieved (>1>->1-(9! ; a b ,.bout "HR3,! "ociet/ for Human Resource 3anagement! Retrieved (( December (>11! ; %C=rien, 3ichael $%ctober , (>>9&! ,HRCs #a+e on #he %ffice,! Human Resource E1ecutive %nline! .rchived from the original on 1 December (>11! Retrieved ( December (>11! ; ,Catbert shows tougher side to human resources,! Personnel #oda/! .ugust @>, (>>A! Retrieved ( December (>11! ; <lrich, Dave $199D&! Human Resource Champions! #he ne1t agenda for adding value and delivering results! =oston, 3ass!2 Harvard =usiness "chool Press! I"=: >A? B-A19-D! %C7C @BA>B9>B! ; #owers, David! ,Human Resource 3anagement essa/s,! Retrieved (>>A-1>-1A! ; a b 5onathan E! De9raff $(1 6ebruar/ (>1>&! ,#he Changing Environment of Professional HR .ssociations,! Cornell HR Review! Retrieved (1 December (>11! ; *right, Patric+! ,#he (>11 CHR% Challenge2 =uilding %rgani4ational, 6unctional, and Personal #alent,! Cornell Center for .dvanced Human Resource "tudies $C.HR"&! Retrieved @ "eptember (>11! ; Conat/, =ill, and Ram Charan $(>11&! #he #alent 3asters2 *h/ "mart 7eaders Put People =efore :umbers! Crown Publishing 9roup! I"=: 9A ->-@>A-BD>(D-B! ; ,Human Resources, #raining, and 7abor Relations 3anagers and "pecialists,! <!"! =ureau of 7abor "tatistics! (>11! Retrieved (@ December (>11! ; ,Human Resources 3anager,! C:: 3one/! (>>D! Retrieved (@ December (>11! ; ,Human Resources 3anager,! C:: 3one/! (>>9! Retrieved (@ December (>11! ; ,#owers *atson E1ecutives "ee 9rowth .head 6or 3erged 6irms,! *or+force 3anagement! (>>A! Retrieved 5anuar/ 1@, (>1>! ; ,HR consultant,! C:: 3one/! Retrieved (@ December (>11! ; ,.bout Cornell I7R,! Cornell <niversit/ "chool of Industrial and 7abor Relations! Retrieved (@ .ugust (>>9! ; ,HR 9raduate Program Ran+ings,! HR Patriot! (>>9->B-(D! Retrieved (>1>>A->?! ; "HR3 *ebsite2 .bout "HR3 ; ,.bout I%R,! Institute of Recruiters $I%R&! Retrieved (( December (>11! 'hide) v t

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E1ecutive "ummar/ Southwest Airlines in 2002 faced a serious of i !ortant ana"e ent decisions after the 9#11 tra"ed$ in order to continue the record %rea&in" co !an$ "rowth that Southwest had e'!erienced since the 19(0)s* Southwest Airlines revolutioni+ed the airline industr$ with what is &nown as the Southwest ,ffect: low cost fares- !oint-to-!oint service- .10 inute turnaround/ and an en0o$a%le friendl$ at os!here* After the Airline 1ere"ulation Act of 19(8- Southwest ado!ted a !olit$ that irre"ardless of the !rofita%ilit$ of e'!ansion o!!ortunities- the co !an$ wanted to co it to a ana"ea%le annual "rowth rate of a%out 10-152* 3he followin" 4uestions and discussion will address the historical challen"es of Southwest airlines- the direction the co !an$ conte !lated in 2002- and a %rief loo& at the challen"es of toda$* 1&! *hat is the competitive business environment 3he airline industr$ has alwa$s %een co !etitive* 5n an anal$sis of the ost !rofita%l$ invest ents as !er our class discussion- sur!risin"l$- airlines co e in at the lowest return on each dollar invested at around 2*52* Southwest Airlines e'!erienced 30 consecutive $ears of !rofit a ere two $ears after it)s foundin" in 19(1* 6an$ air!orts %e"an re4uestin" Southwest service for their !assen"ers- %ut throu"hout Southwest)s e'!ansion- the co !an$ ai ed to aintain a ana"ea%le "rowth rate and focus on their core co !etencies of low !rice fares that would co !ete with the cost of drivin" to the destination* 5n the id 1990)s- the a0or carriers entered into !rice wars to undercut co !etition* Althou"h- these dealin"s did affect Southwest)s %otto line- Southwest still ana"e to continue to turn a !rofit and e'!and due to their e'!ansion into a reservation s$ste and their co it ent to a culture and e'!erience that !assen"ers were drawn to* (&! *hat is the competitive advantage that the compan/ obtained as discussed in the caseJ Southwest Airlines co !etitive advanta"es are their !oint-to-!oint services which are "enerall$ tar"etin" the fre4uent %usiness traveler* 7ith several re"ular fli"hts !er da$- if a !assen"er ha!!ens to iss their fli"ht- the$ will %e auto aticall$ %oo&ed onto another fli"ht* Secondl$- Southwest strate"icall$ secured routes throu"h secondar$ air!orts which "enerall$ had lower fi'ed costs for the airlines and less con"estions for !assen"ers ease* 8inall$- Southwest focused on 4uic&- relia%le turnaround ti e usin" onl$ one version of aircraft- allowin" for fa iliarit$ a on" staff and "reater efficienc$ in turnaround* 9assen"ers were not assi"ned seats- si !l$ %oardin" sections- which allowed for !assen"er loadin" to %e conducted ore efficientl$* 3he traditional airline odel is the Hu% and S!o&e odel- which in essence ta&es ost !assen"ers fro the ori"ination- throu"h the hu%- and then transfers the to their destination* Southwest)s !oint to !oint s$ste was ore relia%le %ecause it did not de!end on the on ti e arrival of an earlier fli"ht for de!arture* Southwest also i !le ented the first and ost si !listic fre4uent-flier !ro"ra : !urchase ei"ht fli"hts and "et one free* Southwest)s initiall$ connected with four

co !uter reservation and tic&etin" s$ste s and also the !owerful SAB;, s$ste * 3his allowed travel a"ents to view fli"ht infor ation and even !rint tic&ets* 5n 1994Southwest was onl$ connected throu"h the SAB;, s$ste s which !ushed Southwest to develo! the .tic&etless/ travel !ro"ra as well as Southwest*co * @&! *hat strateg/ andEor model was used or implemented in this caseJ =argaining power of bu/ers 9orter)s 5 =o !etitive 8orces 6odel #hrea ts "outhwest vs! .ll other .irlines #hreat of substitute

=argaining power of suppliers

#hreat of new entrants =argaining Power

Southwest airlines does stru""le a"ainst the threat of su%stitutes uch li&e an$ other airline and in this case the threat of su%stitutes is the decision to use an alternate for of travel- such as drivin" or ta&in" a train* 3he airline industr$ is sensitive to .tra"ed$/ such as when there is a !lane crash or an event li&e 9#11< consu ers tend to switch to a su%stitute or chose not to travel in the first !lace* Southwest)s %est defense is a stron" 9; ca !ai"n- which we saw after 9#11 when the co !an$ launched ads sa$in" that when A erica is read$ to fl$ a"ain- Southwest will %e there*